Understanding your salary and payslip

Make sure you are being paid the correct salary, understand your payslip and deductions and read some money saving tips

Regular part-time teachers

A regular part-time teacher's salary is based on their relevant point on the salary scale plus allowances and the number of hours they are contracted to work each week.

To work out your correct weekly salary:a) Determine your relevant point on the salary scale, and add allowances (if applicable). Divide this number by 52.18 (weeks in the year, allowing for leap year)b) Divide by 22 (22 hours = full time hours)c) Multiply by the number of hours you are contracted to work

This will indicate how much gross salary you should be paid each week, before deductions. As teachers are paid every fortnight, you should multiply this figure by two to check if the 'gross salary' figure on your payslip is correct.

Additional hoursIf you work more than the prescribed number of hours in one week, you will be paid for these hours at an hourly rate determined by dividing your relevant salary point plus allowances (if applicable) by 735.

Temporary whole-time teachers

Temporary whole-time teachers are paid an incremental salary each fortnight over the year, including holiday periods.

To work out your correct weekly salary:a) Determine your relevant point on the salary scale, and add allowances (if applicable). b) Divide this number by 52

This will indicate how much gross salary you should be paid each week, before deductions. As teachers are paid every fortnight, you should multiply this figure by two to check if the 'gross salary' figure on your payslip is correct.

Non-casual part-time teachers

Non-casual part-time teachers are paid salary for the duration of their contract. They are paid an hourly rate, which includes holiday pay of 56%.

To work out your correct weekly salary:a) Determine your relevant point on the salary scale, and add allowances (if applicable). b) Divide this number by 735 (this will give you your hourly rate of pay)c) Multiply this by the number of hours you teach each week.

This will indicate how much gross salary you should be paid each week, before deductions. As teachers are paid every fortnight, you should multiply this figure by two to check if the 'gross salary' figure on your payslip is correct.

Casual part-time teachers

Casual part-time teachers are paid only for the hours they work, but their rate of pay includes 22% holiday pay. They are paid at a rate of €46.85 per hour) if they were first appointed to a Department-paid teaching position before January 1, 2011) or €40.10 per hour (if first appointed to a Department paid position after January 1, 2011) or €38.87 per hour (if first appointed to a Department paid position after February 1, 2012).

To work out your correct weekly salary:Multiply the number of hours you worked during the week by €46.58 / €40.10 / €38.87

This will indicate how much gross salary you should be paid for that week, before deductions.

Additional hoursIf you work in excess of 150 hours in one year, the additional hours are paid at a higher non-casual part-time rate. This rate is determined by dividingyour relevant point on the salary scale plus allowances (if applicable) by 735.

Unqualified casual part-time teachers

Unqualified casual part-time teachers are paid only for the hours they work, but their rate of pay includes 22% holiday pay. They are paid at a rate of €40.85 (if first appointed to a Department paid position before January 1, 2011) or €36.76 (if first appointed to a Department paid position after January 1, 2011)

To work out your correct weekly salary:Multiply the number of hours you worked during the week by €40.85 / €36.76.

This will indicate how much gross salary you should be paid for that week, before deductions.

CID teachers

CID 18 hours or moreA teachers with a CID for 18 hours or above per week is paid as a permanent teacher, i.e. they are paid a yearly salary of their relevant point on the salary scale plus allowances.

CID with fewer than 18 hoursA teacher with a CID who teaches fewer than 18 hours a week is paid a fraction of their relevant point on the salary scale plus allowances based on the number of hours they are contracted to work each week.

a) Determine your relevant point on the salary scale, and add allowances (if applicable). Divide this number by 52 (weeks in the year)b) Divide again by 22 (22 hours = full time hours)c) Multiply by the number of hours you are contracted to work each week

This will indicate how much gross salary you should be paid each week, before deductions. As teachers are paid every fortnight, you should multiply this figure by two to check if the 'gross salary' figure on your payslip is correct.

Your payslip

1Gross pay details

Basic payThis refers to payment for hours worked, and does not include your allowances.

AllowancesAny allowances paid in respect of posts of responsibility and special duties, degree allowances, teaching in the Gaeltacht, etc., are detailed here.

3PRSI class

All employees, whether full-time or part-time, are liable for PRSI. All teachers employed since 1995 are Class A PRSI contributors. Class A is the normal rate at which PRSI is paid.

4Tax credit

This refers to the total tax credit you are entitled to for this payroll period, including your PAYE credit, individual tax credit and other credits based on your individual circumstances. Notice of your tax credits is sent to you at the beginning of each year by the Revenue Commissioners. Check www.revenue.ie for more details of tax credits or to see what you can claim.

5Cut-off point

Cut-off point refers to the point at which you pay the higher rate of tax. The standard PAYE rate is 20% plus the income levy. You are taxed at this rate on earnings up to your cut-off point. After that, earnings are taxed at the higher rate of 41% plus income levy. The figure here indicates the cut-off point for this particular pay period.

6Net pay

This figure indicates how much is actually paid into your bank account after tax, PRSI and other deductions.

7Year to date totals

Year to date totals let you know how much you have earned, paid or been credited to date in this tax year. The tax year runs from January 1 to December 31.

Money saving tips

Non-permanent employment means uncertain salary. We offer some advice for saving money and making your income stretch a little further.

As an ASTI member, you can access a number of specially negotiated deals on a range of products including car, home, travel and health insurance. Check them out!

If you are due an eye exam or dentist check up this year, remember to keep your receipt – the ASTI Sickness Benefit Scheme allows members to claim up to €165 back on optical and dental treatment. The Scheme also offers financial assistance to cover medical expenses for teachers who are out of work due to illness for seven consecutive days or more. Terms and conditions apply to these schemes. See the finances section of the website for more information.

Ivan Ahern, a qualified financial advisor with nearly 20 years’ experience talks us through some simple ways you can save money in 2011.

Health insurance

If you hold a health insurance policy, you could make substantial savings by reviewing your current plan this year. In a bid to win new customers, VHI, Quinn Healthcare and AVIVA Health have launched plans with reduced rates and, in some instances, even better benefits. You may not even need to switch insurer in order to save money. You can switch at any time – you don’t have to wait until your renewal date. If you decide to switch, your insurer can’t impose any additional waiting periods on you unless you are upgrading your cover.

Medicine and personal care goods

Save money by shopping for over-the-counter medicines and personal care goods in supermarkets rather than pharmacies. Recent research carried out by the National Consumer Agency revealed price differences of up to 160% between retailers.* Where possible, you should also ask for a generic drug when purchasing medicines, as these are usually a few Euro cheaper.

Tax

You can claim back for overpaid taxes for a period of up to four years. You could be entitled to a substantial amount of money. For example, if you are a full-time teacher paying tax at 41% and you haven’t been claiming for your flat rate expenses or Teaching Council allowances. There are many other tax allowances that you may also be missing out on, so you should check your entitlements. Cornmarket teacher clients received an average tax rebate of €900 in 2010 alone.

Life cover

Have you reviewed your life cover policy lately? A lot of people don’t realise that there may be a better deal out there. For example, a review of a typical policy could save up to €412 in year one and in excess of €10,300 over the full term of the policy.** You should take the following steps when it comes to reviewing your cover:

1. Check what cover you already have in place and how much you are paying for it.2. Don’t forget to check the cover you may have through your Salary Protection, Superannuation, and any other pension schemes.3. Decide if this cover meets your individual/family needs.4. If you think you don’t have enough cover or that you may be overinsured, you should contact an independent authorised financial advisor for a quote.

Electricity

Bord Gáis Energy and Airtricity are currently offering customers savings of up to 13% on their electricity bill by switching from ESB. You could save over €135 per annum on a bi-monthly bill of €200.*** So if you haven’t already done so, review your provider this year. To find out how much you could save on your bill, log on to www.bonkers.ie for a free comparison.

Travel

Book your train tickets online and, where possible, avoid booking in peak times, as it’s more expensive. By doing so you could save up to €31 on your return train ticket at weekends.**** If you are under age 25 then you can get a Faircard, which will also help you to save money. For more information visit www.irishrail.ie.

Sources:*www.consumerconnect.ie**This quote is an example and is for illustrative purposes only. It compares the lowest price to the highest price available, and is based on a male aged 40 and a female aged 35, both non-smoking, with life cover of €250,000 and specified illness cover of €50,000, for a 25-year term with benefits and premiums increasing (source: advisor plus 14/12/10)***based on first-year switching from ESB to Bord Gáis Energy Paper Direct Debit option or Airtricity SmartSaver Online Budget Plan. Current bill €200 bi-monthly, consumption 629kWh per year paid by direct debit, domestic tariff for rural region 24-hour rate****based on return fare from Dublin to Cork departing on Fri 17/12/10 at 9.00pm instead of 6.00pm and returning Sun 19/12/10 at 3.30pm instead of 6.30pm.